Montenegro has formally ratified its income and capital tax treaty with Liechtenstein, signed in September 2025 during the UN General Assembly. The agreement follows OECD/G20 BEPS standards, aims to reduce withholding taxes on dividends, interest, and royalties, and includes mutual agreement procedures to support cross-border investment.
Montenegro’s Parliament approved the law ratifying the income and capital tax treaty with Liechtenstein on 27 February 2026.
Liechtenstein and Montenegro signed an income and capital tax treaty on the sidelines of the 80th session of the UN General Assembly in New York on 25 September 2025.
The treaty follows the latest international standards and the OECD/G20 Base Erosion and Profit Shifting (BEPS) recommendations. It aims to promote cross-border investment by reducing withholding tax rates on dividends, interest, and royalties, and includes a provision for mutual agreement procedures.
The treaty will take effect 30 days after the ratification instruments are exchanged and will be applicable from 1 January of the following year.
Earlier, Montenegro’s government approved the draft law to ratify the income and capital tax treaty with Liechtenstein on 4 December 2025.
